Small Business Overview Quiz

Small Business Overview

• Small businesses have fewer employees and/or less annual revenue than regular-sized businesses or corporations.

• Small businesses can include service or retail operations, such as convenience stores, restaurants, and web design.

• Small businesses range from 15 to 500 employees depending on the country and industry.

• Small businesses can be classified according to other methods, such as annual revenues, shipments, sales, assets, annual gross, net revenue, net profits.

• Self-employment provides work primarily for the founders, while entrepreneurship refers to all new businesses, including self-employment, and startups refer to new businesses that intend to grow beyond the founders.

• The median American small business owner is above the age of 50, and 55% of small businesses are owned by males.

• Franchising is a way for small business owners to benefit from the economies of scale of the big corporation.

• Small businesses benefit from less extensive accounting and financial reporting requirements than those faced by larger businesses.

• Small businesses often face problems related to their size, such as undercapitalization, pricing, and insurance costs.

• Small businesses can be influenced or determined by much larger businesses, which can limit their chances for success.

• Business planning is associated with improved growth prospects, but over half of small firms lack a business plan.

• Small business owners can benefit from learning the basics of a foreign language to open doors to new trade markets.The Challenges Faced by Small Businesses

• Small businesses can file for bankruptcy, but if it is out of business, there is little advantage to going to the expense of a corporate bankruptcy.

• Small businesses can encounter several problems related to engaging in corporate social responsibility, due to characteristics inherent in their size.

• Small businesses generally employ individuals from the Secondary labor market, and wages are 49% higher for employees of large firms.

• Cybercrime in the business world can be broken down into four main categories such as legal difficulties, loss of reputation and consumer confidence, cost of fixing the issue, and loss of capital and assets.

• Small businesses typically find themselves strapped for time to do marketing, as they have to run the day-to-day aspects of the business.

• Small businesses (fewer than five hundred employees) account for more than half the non-farm private GDP and around half the private sector employment in the US.

• Small businesses use various sources available for start-up capital such as bank loans, friends and family, and crowdfunding.

• Several organizations in the United States provide help for the small business sector, such as the Internal Revenue Service and Small Business Administration.

• Small businesses often join or come together to form organizations to advocate for their causes or to achieve economies of scale.

• The largest regional small business group in the United States is the Council of Smaller Enterprises.

• United Kingdom Trade and Investment gives out research in different markets around the world, and research in program planning and promotional activities to exporters.

• Several youth organizations have interactive programs and training to help young people run their own small business under adult supervision.